Daily Insights January 3, 2026

Daily Insights January 3, 2026

A. PIB RELEASES (January 2, 2026)

1. PRAGATI @ 50: Institutionalizing Proactive and Tech-Enabled Governance

Context:
PRAGATI (Pro-Active Governance and Timely Implementation) celebrates 50 years of institutionalizing proactive and technology-enabled governance in India.

Key Points:

• Launched: Originally established as a system for real-time governance monitoring and problem resolution

• Focus: Ensures accountability, transparency, and timely implementation of government initiatives

• Technology Integration: Uses digital tools to track schemes, monitor projects, and resolve bottlenecks in real-time

• Objective: Bridges gap between policy formulation and ground-level implementation

• Coverage: Applicable across central and state-level government departments

• Impact: Enables faster decision-making, reduces bureaucratic delays, and improves citizen-centric governance

2. Electronics Component Manufacturing Scheme (ECMS)

Context:
Government continues to expand the Electronics Component Manufacturing Scheme to develop India’s electronic components ecosystem.

Key Points:

• Objective: Strengthen domestic manufacturing of electronic components and reduce import dependence

• Coverage: Includes semiconductors, passive components, connectors, and related technologies

• Ministry: Department of Electronics and Information Technology (DeitY)

• Incentives: Manufacturing incentives, R&D support, and infrastructure development

• Strategic Goal: Position India as a global electronics manufacturing hub alongside China

• Employment: Expected to generate skilled job opportunities in electronics manufacturing

• Supply Chain: Aims to build a reliable domestic supply chain for critical electronic components

3. Export Promotion Mission (EPM)

Context:
Ministry of Commerce & Industry notifies market access guidelines under the Export Promotion Mission framework.

Key Points:

• Framework: Single, integrated umbrella scheme to strengthen India’s export ecosystem

• Two Sub-Schemes:

• Niryat Protsahan: Financial support including trade finance, interest subvention, and credit enhancement for MSMEs

• Niryat Disha: Non-financial enablers like quality compliance, branding, logistics, and capacity building

• Financial Assistance:

• Trade fairs and buyer-seller meets (BSMs)

• Mega reverse BSMs (RBSMs)

• Trade delegations

• Eligibility: MSMEs receive priority; support for up to 2-3 BSMs per firm annually

• Minimum Participation: Delegations must include minimum 50 participants, with at least 35% MSMEs

• Focus Sectors: Labour-intensive and MSME-driven export sectors

• Implementing Agency: Directorate General of Foreign Trade (DGFT)

• Governance: Coordinated institutional framework involving Department of Commerce, Ministry of MSME, Ministry of Finance

B. THE HINDU (January 3, 2026)

1. Assam Tribal Body Rejects GoM Proposal to Grant ST Status to Six Communities

Context:
The Coordination Committee of Tribal Organisations of Assam (CCTOA) firmly rejects the Group of Ministers (GoM) recommendation to grant Scheduled Tribe (ST) status to six communities.

Key Points on the GoM Proposal:

• Six Communities: Tai Ahom, Chutia, Moran, Motok, Koch-Rajbongshi, and Tea Tribes (Adivasis)

• Current Status: These communities are classified as Other Backward Classes (OBC), representing approximately 27% of Assam’s population

• Proposed Classification: Three-tier system—ST (Plains), ST (Hills), and ST (Valley)

• ST (Valley) Features:

• Separate reservation quotas in Parliament, State Assembly, and local bodies

• Distinct rosters and vacancy registers for government recruitment and educational institutions

• Claims to protect existing ST rights while adding new categories

• Requires special Act of Parliament for statutory endorsement

Key Points on CCTOA Rejection:

• Constitutional Violation: Argues proposal violates Article 342 and constitutional safeguards for existing STs

• Political Representation Threat: Warns granting ST status to 27% population would “severely erode” political representation of existing 4.5 million tribal members

• Parliamentary Seat Loss: Existing STs would lose reserved Lok Sabha seats (e.g., Kokrajhar, Diphu constituencies would be affected)

• Legal Sustainability: Describes proposal as “legally unsustainable” and “unconstitutional”

• Promise Breach: Claims government violated Assembly’s all-party delegation resolution assuring no dilution of existing tribal rights

• Rejection Action: Tribal leaders burnt copies of GoM report to express opposition

Reservations System Context:

• Current Structure: ST (Plains) with 10% reservation; ST (Hills) with 5% reservation

• Lokur Committee Criteria (1965): Primitive traits, distinctive culture, geographical isolation, shyness of contact, backwardness

• Statutory Process: President notifies initial ST list under Article 342; amendments require Parliamentary law

2. Transforming a Waste-Ridden Urban India

Context:
Urban India grapples with escalating solid waste management challenges threatening public health and environmental sustainability.

Key Points:

• Challenge Magnitude: Indian cities generate approximately 140,000 metric tonnes of solid waste daily

• Infrastructure Gap: Only 40% of generated waste is processed scientifically; 60% ends up in landfills

• Health Impact: Improper waste management causes waterborne diseases, air pollution, and spread of communicable diseases

• Legacy Problem: Over 2,400 legacy landfills across India carrying accumulated contamination burden

• SBM-Urban 2.0 Target: Aim to achieve “Garbage Free City” status for all urban areas by 2026

• Implementation Challenges:

• Inadequate municipal budgets and technical capacity

• Behavioral change among citizens

• Construction and demolition (C&D) waste management

• Decentralized segregation systems

Swachh Bharat Mission (SBM-U 2.0) Initiatives:

• Source Segregation: Waste separation at household level into wet, dry, and hazardous categories

• Processing Facilities: Bio-composting, waste-to-energy, recycling centers

• Solid Waste Treatment Plants: Scientific treatment of municipal solid waste

• Landfill Management: Bio-remediation and capping of legacy dumpsites

• Behavioral Campaign: “Jan Andolan” for citizen engagement and awareness

• Timeline: Five-year phase (2021-2026)

3. Recasting Sanitation with Urban-Rural Partnerships

Context:
Sustainable sanitation requires integrated urban-rural ecosystem approaches rather than isolated city-level interventions.

Key Points:

• Integrated Approach: Sanitation extends beyond toilets to include WASH (Water, Sanitation, Hygiene), greywater management, and fecal sludge treatment

• Urban-Rural Linkage:

• Rural agricultural waste can serve as compost feedstock for urban composting plants

• Treated urban wastewater can support periurban and rural agriculture (grey water reuse)

• Nutrient recovery from urban waste can support rural soil health

• Decentralized Systems: Moving from centralized treatment to decentralized, community-managed sanitation infrastructure

• Cost Efficiency: Partnerships reduce per-unit treatment costs and improve sustainability

• Employment Generation: Local waste management enterprises create rural employment

• Environmental Benefits: Reduces pollution load on natural water bodies, improves groundwater quality

• Institutional Requirement: Coordination between urban local bodies (ULBs) and gram panchayats

Policy Framework:

• National Urban Sanitation Policy: Integrates sewerage, solid waste management, and water supply

• Swachh Bharat Mission Objectives: 100% ODF status, 100% scientific waste management

• Household-Level Intervention: Individual household latrines with septage management

• Public Toilet Standards: Community and public toilets with maintenance mechanisms

4. SC Slams Denial of Bail to Give ‘Taste of Imprisonment as a Lesson’ to Accused

Context:
Supreme Court corrects judicial practice of using bail denial as punitive measure rather than preventive detention.

Key Points on SC Judgment:

• Core Principle: “Bail is rule; imprisonment is exception”—reaffirmed by SC

• Constitutional Protection: Articles 14 and 21 protect liberty and right to fair procedure

• Current Abuse: Some courts deny bail as implied punishment despite innocence presumption

• Intent Issue: Using imprisonment as “taste of punishment” violates constitutional safeguards

• Procedural Violation: Prolonged delay in bail application disposal amounts to denial of justice

• Standard: Bail decisions must be on merits; conditions must be reasonable and relatable to case facts

SC’s Directional Guidelines:

• Expeditious Disposal: All bail applications must be decided strictly on merits within fixed timelines

• No Discretionary Conditions: Courts cannot impose undertakings unrelated to case (e.g., arbitrary deposits)

• Presumption of Innocence: Cannot be overridden by judicial discretion

• Custody Impact Analysis: Undertrials confined without conviction constitute ~66% of prison inmates

• Vulnerable Populations: Underprivileged persons disproportionately suffer prolonged custody

Legal Framework:

• Satender Kumar Antil Judgment: Laid down comprehensive bail guidelines

• Section 41/41A CrPC: Non-compliance makes arrest invalid and grants automatic bail

• Section 167(2) CrPC: Default bail for incomplete investigation beyond prescribed timeline

• Section 440 CrPC: Bail conditions must not be excessive or impossible to comply with

5. ‘Gig Economy Reflects Systemic Inequality’

Context:
India’s booming gig economy—projected to employ 12 million by 2025—masks exploitative labor conditions and systemic inequalities.

Key Points on Gig Economy Reality:

• Scale: 12 million gig workers in India by 2025; rapid expansion in ride-sharing, delivery, freelancing

• Promise vs. Reality:

• Flexibility and autonomy marketed to workers

• Actual conditions: long hours, sub-minimum wages, zero social security

• Income Insecurity: 47% of gig workers report earning less than permanent employees for equal work

• No Labor Protections: Classified as “independent contractors” excluding from labor law coverage

• Social Security Gap: 2020 Code on Social Security acknowledges gig workers but provides limited protections

Systemic Inequalities:

• Gender Disparities: Women face algorithmic biases, harassment, and 15-20% wage gap with men in same roles

• Caste & Class Dynamics: Marginalized communities disproportionately concentrated in precarious gig roles

• Urban-Rural Divide: Poor internet connectivity excludes rural workers from high-paying gig opportunities

• Digital Divide: Only 38% of households digitally literate; excludes vulnerable populations from better-paying gigs

• Algorithmic Management: Lack of transparency in rating systems, task allocation, and contract termination

Regulatory Gaps:

• Classification Issue: Legal ambiguity on worker vs. contractor status hampers rights protection

• Absence of Minimum Wage: No guaranteed minimum earnings despite regulatory frameworks

• Health Insurance: Limited coverage; workers bear full health and accident costs

• Irregular Employment: No job security or income stability mechanisms

Policy Imperatives:

• Mandatory Social Security: Health insurance, provident fund, disability coverage

• Minimum Earnings Guarantee: Establish baseline income norms

• Collective Bargaining: Enable platform worker unionization

• Algorithmic Accountability: Transparent AI decision-making

• Gender Protection: Anti-harassment mechanisms and equal pay provisions

C. THE INDIAN EXPRESS (January 3, 2026)

1. 7 of World’s Rarest Frogs Presumed Dead, Study Blames Rise in Photo Tourism

Context:
Seven galaxy frogs, among world’s rarest amphibians, have vanished and are presumed dead after uncontrolled photography tourism destroyed their delicate forest habitat in Kerala’s Western Ghats.

About Galaxy Frogs (Melanobatrachus indicus):

• Rarity: Belongs to unique monotypic genus; one of world’s most threatened species

• Distribution: Exclusive to Western Ghats in Kerala; found only under rotten logs on forest floor

• Unique Appearance: Jet-black skin with pale blue speckles (resembling starlit sky) and orange patches (like supernova explosions)

• Size: No bigger than a fingertip; extremely cryptic and elusive

• Ecological Role: Pollinator in tropical rainforest; indicator of ecosystem health

• Conservation Status: Listed as Vulnerable by IUCN

The Extinction Event:

• Discovery (March 2020): Seven frogs located beneath 25 rotting logs at Mathikettan Shola National Park

• Habitat Invasion (June 2020-April 2021): Multiple photographer groups descended on site during pandemic lockdown when researchers couldn’t return

• Destructive Practices:

• Overturned 25 logs searching for frogs

• Trampled surrounding vegetation

• Handled frogs with bare hands (causing dehydration and stress)

• Exposed frogs to high-intensity camera flashes for 4-hour sessions

• Moved frogs to “more picturesque backdrops”

• No gloves used (risk of disease transmission)

• Outcome (August 2021): All seven frogs vanished; presumed dead despite revisits in November 2021 and May 2022

Broader Threats to Frogs:

• Primary Threat: Conversion of Western Ghats forests to coffee and tea plantations

• Secondary Threats: Firewood collection, landslides, habitat fragmentation

• Emerging Threat: Photo tourism and wildlife photography pressure

• Designation Risk: Named as flagship species of Mathikettan Shola National Park in 2021, inadvertently increasing visitor pressure

Conservation Recommendations:

• Regulatory Measures:

• Restrict animal capture and handling

• Limit high-intensity flash photography

• Avoid habitat disturbance and log overturning

• Management Strategies:

• Train licensed guides in ethical wildlife photography

• Establish photography-free zones

• Impose penalties for violations

• Control tourism in critical habitat areas

• Collaboration: Forest departments partnership with tourism departments for responsible ecotourism

2. Energy Transition Needs More Than Chasing the Sun or the Wind (Shefali Khanna Article)

Context:
Current global energy transition focus on renewables ignores critical infrastructure, storage, and transition equity challenges.

Key Arguments:

• Renewable Targets Incomplete: While solar and wind capacity expansion necessary, they address only electricity generation (30% of energy use)

• Thermal Energy Gap: Industrial heat, transport fuel, and heating account for 70% of energy demand—renewables insufficient

• Grid Stability: Intermittent renewable energy requires massive battery storage and grid infrastructure still in development

• Infrastructure Requirement: Transition demands investment in transmission grids, smart grids, and distribution networks—often overlooked

• Transition Equity: Workers in coal, oil, gas sectors face job losses; requires retraining and livelihood support absent in current policy

• Technology Dependence: Critical minerals (lithium, cobalt) for batteries concentrated in few countries; creates new dependencies

• Cost Barriers: Developing countries lack capital for transition; green finance commitments fall short

India-Specific Challenges:

• Coal Dependence: 70% electricity from coal; rapid renewable shift threatens 500,000+ coal workers’ livelihoods

• Grid Integration: Renewable intermittency strains weak grid; requires baseload alternatives (nuclear, hydro)

• Industrial Heat: Steel, cement sectors require high-temperature heat; electrification adds cost

• Transportation: EV transition requires massive charging infrastructure; minerals extraction impacts livelihoods

Policy Needs:

• Just Transition Frameworks: Retraining programs for fossil fuel workers

• Infrastructure Investment: Grid modernization and storage solutions

• Equitable Burden-sharing: Developed vs. developing countries differentiated responsibilities

• Technology Transfer: Making renewable and storage tech accessible to Global South

3. Street Dogs Issue (D.R. Mehta Article Summary)

Context:
Urban and rural India faces escalating human-dog conflict, animal welfare concerns, and public health challenges related to street dog populations.

Key Issues:

• Population Scale: Estimated 60-70 million street dogs across India; rapid growth in urban areas

• Human-Dog Conflict: Increasing dog attacks, bites, and related injuries; significant public fear

• Rabies Threat: Street dogs primary rabies vector; WHO estimates 59,000+ annual rabies deaths globally, 36% in India

• Municipal Challenge: Limited municipal resources for population control and management

• Animal Welfare: Inhumane control methods; poisoning, starvation, displacement violate animal protection laws

Government Response Mechanisms:

• Animal Birth Control (ABC): Sterilization programs under Animal Welfare Board guidelines

• Immunization Drives: Anti-rabies vaccination for street dogs

• Shift from Killing: 2001 Supreme Court ruling banned lethal culling; mandates ABC instead

• Municipal Responsibilities: ULBs required to manage and vaccinate street dogs

Implementation Gaps:

• Funding Shortage: Insufficient municipal budgets for ABC and vaccination

• Community Resistance: People resist sterilized dog presence; demand elimination

• Ineffective Coordination: Gaps between animal welfare activists, civic authorities, and health departments

• Public Awareness Deficit: Limited education on responsible dog management and rabies prevention

Balancing Approaches:

• Animal Welfare: Ensuring humane treatment and health

• Public Safety: Reducing attack incidents and rabies transmission

• Community Engagement: Building neighborhood support for coexistence

• Evidence-Based Policy: ABC + vaccination proven effective in controlling populations while preventing disease

4. Two Opportunities for India to Prove Critics Wrong (Ram Madhav Article)

Context:
2026 presents critical opportunities for India to demonstrate democratic strength, institutional resilience, and counter negative narratives.

Key Arguments:

• Democratic Institutions: International criticism suggests Indian democracy weakening; 2026 elections can showcase institutional functionality

• Election Commission Test: EC under scrutiny for alleged partisan bias; fair elections in 2026 validate institutional independence

• Constitutional Safeguards: Fundamental rights protections and judicial review mechanisms remain strong despite claims of erosion

• Voter Engagement: High voter turnout and peaceful transfers of power demonstrate democratic legitimacy

Opportunity Areas:

• State Elections: Demonstrate competitive elections, peaceful transitions, and accountability mechanisms

• Institutional Performance: Electoral machinery, poll monitoring, and dispute resolution systems function fairly

• Constitutional Function: Courts intervene when rights violated; legislature debates vigorously; checks and balances operative

Challenges to Address:

• Media Freedom: Ensuring press independence and diverse viewpoints

• Minority Protections: Safeguarding rights of religious and linguistic minorities

• Federal Structure: Respecting state autonomy and cooperative federalism

• Peaceful Transitions: Demonstrating mature power handovers across ideological lines

Global Context:

• Comparative Strength: Indian democracy ranks ahead of many developed nations in institutional health

• Resilience Test: 2026 elections validate democratic sustainability amid external criticism and internal challenges

5. Inattention to High Tech, Minerals is Showing (Dhiraj Nayyar Article Summary)

Context:
India’s insufficient focus on semiconductor manufacturing and critical mineral extraction threatens long-term technological sovereignty and economic competitiveness.

Key Concerns:

• Semiconductor Lag: India produces near-zero semiconductor chips; 100% dependent on imports from Taiwan, South Korea, US

• Global Competition: China invested heavily in chip manufacturing; now world’s largest chipmaker

• Strategic Vulnerability: Tech dependency creates geopolitical and economic risks during supply chain disruptions

Critical Minerals Challenge:

• Domestic Reserves: India has abundant rare earth elements, lithium (potential), bauxite; underexploited

• Extraction Barriers:

• Environmental concerns limiting mining expansion

• High capital requirements

• Regulatory delays

• Local opposition to mining projects

• Import Dependence: Imports 90%+ of rare earth elements; critical for electronics, defense, renewable energy

Implications:

• Manufacturing Competitiveness: Without domestic chip and mineral supply, India cannot achieve semiconductor self-reliance

• Technology Gap: Falling behind China in advanced technologies; loses high-value manufacturing jobs

• Energy Transition: Renewable energy shift requires massive mineral inputs (lithium, cobalt); dependence limits transition pace

• Defense Capability: Military modernization hindered by critical technology imports

Policy Imperatives:

• Semiconductor Investment: ECMS (Electronics Component Manufacturing Scheme) must scale up

• Mineral Extraction: Environmental standards + faster mining approvals balance growth and protection

• R&D Funding: Government support for chip design and semiconductor research

• Strategic Partnerships: Collaboration with like-minded democracies for supply chain resilience

• Educational Pipeline: Train semiconductor engineers and technicians

D. DOWN TO EARTH (January 2026)

1. Sandalwood Leopard: Ultra-Rare Leopard Color Morph in Western Ghats

Context:
Extremely rare sighting of melanistic sandalwood leopard recorded in Karnataka’s Western Ghats, highlighting undocumented biodiversity.

About Sandalwood Leopard:

• Rarity: Ultra-rare color morph variant of Indian leopard; first documented sightings in recent years

• Identification: Darker coloration due to melanistic gene expression; distinctive appearance compared to standard rosette-patterned leopards

• Distribution: Restricted to Western Ghats, particularly sandalwood-rich forests of Karnataka

• Habitat: Deciduous and semi-evergreen forest ecosystems; uses dense vegetation for camouflage

• Sighting Location: Camera-trap recordings in Karnataka tiger reserves and protected areas

Ecological Significance:

• Apex Predator: Leopards control herbivore populations; maintain ecosystem balance

• Indicator Species: Presence indicates healthy forest ecosystems with adequate prey base

• Human-Wildlife Interface: Leopards living in human-dominated landscapes; important for coexistence studies

• Genetic Diversity: Color morph variants important for understanding population genetics and adaptation

Conservation Challenges:

• Habitat Loss: Deforestation for sandalwood extraction, coffee and tea plantations

• Poaching Pressure: Illegal hunting for skins and bushmeat

• Human Conflict: Livestock predation leading to retaliatory killings

• Fragmentation: Forest fragmentation isolates populations; reduces genetic connectivity

• Development Projects: Linear infrastructure (roads, railways) disrupts movement corridors

Western Ghats Leopard Population:

• Status: Estimated 3,596 leopards (2022 survey) in Western Ghats landscape

• Distribution: 65% outside protected areas; increases human-leopard conflict

• Density: Varies from 13 leopards/100 km² (Nilgiris) to <1/100 km² (central Karnataka scrublands)

• Trend: Stable overall but declining in specific areas despite total population stability

2. Stingless Bees: World’s First Insects with Legal Rights

Context:
Satipo Municipality in Peru grants legal rights to Amazonian stingless bees, establishing global precedent for insect protection.

About Amazonian Stingless Bees (Tribe Meliponini):

• Distribution: Exclusive to tropical and subtropical rainforests, highest diversity in Amazon

• Characteristics:

• Ancient bee species; one of Earth’s oldest pollinators

• Stingless adaptation: vestigial stinger too small for defense; defend through biting and resin secretion

• Eusocial insects with perennial colonies in hollow trees

• Ecological Importance: Pollinate 80%+ of Amazonian flora; essential for rainforest regeneration

• Economic Value: Meliponiculture (traditional beekeeping) practiced by Indigenous communities for centuries

• Medicinal Properties: Honey called “miracle liquid”; anti-inflammatory, antibacterial, antiviral, anti-fungal properties; traditional use for eye ailments (cataracts)

• Cultural Significance: Central to Asháninka and Kukama-Kukamiria Indigenous identity and knowledge systems

Declaration of Rights for Native Stingless Bees:

• Jurisdiction: Satipo Municipality ordinance; replicated in Nauta Municipality

• Legal Status: First insects in world granted legal personhood and rights

• Rights Recognized:

• Right to exist and flourish

• Right to maintain healthy populations

• Right to pollution-free habitat

• Right to ecologically stable climatic conditions

• Right to regenerate natural cycles

• Right to legal representation (through Indigenous guardians or experts) in court cases

• Implementation: Human guardians can sue on behalf of bees; penalties for habitat destruction and harmful activities

Threats to Stingless Bees:

• Deforestation: Primary threat; habitat loss for agriculture and logging

• Climate Change: Rising temperatures and altered precipitation patterns

• Pesticide Exposure: Agricultural chemicals harm colonies

• Invasive Honeybees: European honeybees (Apis mellifera) compete for resources and spread diseases

• Illegal Logging: Reduces nesting sites in old-growth trees

Meliponiculture Practice:

• Definition: Sustainable stingless beekeeping using traditional knowledge

• Products: Honey (with higher medicinal value than European honey), pollen, propolis

• Sustainability: Hives can be split and multiplied without harming wild populations

• Livelihood: Supports Indigenous communities economically; preserves cultural practices

• Research Finding: Honey contains compounds with anti-inflammatory, antiviral, antibacterial, antioxidant properties; potential anti-cancer applications

Global Implications:

• Rights of Nature Movement: Expanding legal personhood from rivers (NZ Whanganui, India’s Ganga) to insects

• Biocultural Rights: Integrating Indigenous rights with species protection

• Conservation Model: Recognizing ecological and cultural value of non-charismatic species

• India Parallel: Animal Welfare Board vs. A. Nagaraja (2014) expanded Article 21 to include animal welfare; but river personhood cases remain contested

3. EU Carbon Border Tax Comes Into Force, Raising Costs for Indian Exporters

Context:
European Union’s Carbon Border Adjustment Mechanism (CBAM) becomes operational January 1, 2026, imposing carbon levies on Indian steel, aluminum, cement, and fertilizer exports.

About CBAM:

• Objective: Prevent “carbon leakage”—relocation of carbon-intensive industries from EU to countries with weaker climate policies

• Mechanism: Imposes carbon levy on embedded emissions in imported goods

• Price Basis: Linked to EU Emissions Trading System (ETS) auction prices (currently €87-90/tonne CO₂)

• Implementation Phase: 2026-2027 transitional period; full compliance from 2027

• Covered Goods:

• Steel and iron

• Aluminum

• Cement

• Fertilizers

• Electricity

• Hydrogen (potential)

Impact on Indian Exporters:

• Export Scale: Indian exports of CBAM-covered goods = 9.91% of India-EU trade (2022-23) = $5.8 billion

• Estimated Cost Burden: Average 25% additional tax on affected exports (varies by product and production method)

• Price Pressure: EU importers pass costs to Indian suppliers through price negotiations

• Competitive Disadvantage: Indian exporters face 15-22% price reductions to remain competitive

• Sectoral Impact:

• Steel: Blast furnace route faces highest burden; direct reduced iron (DRI) and electric arc furnace lower impact

• Aluminum: Coal-fired power generation increases carbon intensity

• Cement: High-emission clinker production penalized

Why India Faces Disproportionate Impact:

• No Domestic Carbon Tax: India lacks carbon pricing mechanism; cannot prove carbon price already paid (unlike EU producers)

• Coal Dependence: 70% Indian electricity from coal; high baseline carbon emissions

• Production Methods: Traditional blast furnace technology more carbon-intensive than newer DRI/EAF

• Verification Costs: Mandatory EU-recognized audits by ISO 14065-compliant verifiers add compliance burden

Regulatory Requirements for Exporters (2026 onward):

• Registration: EU importers must register as authorized CBAM declarants

• Emissions Reporting: Quarterly averaging of carbon intensity (shifts to weekly from 2027)

• Certificate Purchasing: CBAM certificates must be purchased for emissions not covered by previous carbon pricing

• Documentation: Production route details, emissions data, verification status required

• Audit Provisions: Akin to financial audits; extensive documentation and validation

Mitigation Strategies for Indian Industry:

• Shadow Carbon Pricing: Internally calculate carbon costs aligned with EU benchmarks

• Production Route Shift: Invest in lower-carbon DRI/EAF processes for steel

• Renewable Energy: Transition power inputs to renewables; reduce coal dependence

• Contract Renegotiation: Anticipate CBAM clauses in supplier agreements

• Certifications: Obtain ISO 14065 compliance and third-party verification status

• Data Management: Prepare standardized emissions documentation per facility

Broader Trade Implications:

• India-EU FTA: Free Trade Agreement negotiations advance amid CBAM implementation; potential to include carbon provisions

• Precedent Setting: CBAM model for unilateral climate-trade linkage may spread to other countries

• Developing Country Concerns: Global South argues CBAM ignores historical emissions responsibility and development capacity differences

4. Heatwaves Were the Deadliest Climate Disasters in 2025, Hitting Poorest Hardest—WWA

Context:
World Weather Attribution’s 2025 annual report reveals heatwaves as deadliest climate disasters, disproportionately affecting poor and marginalized communities.

Key Findings:

• Event Scale: 157 extreme weather events in 2025 met humanitarian impact criteria

• Most Frequent: Floods and heatwaves tied at 49 events each; followed by storms (38), wildfires (11), droughts (7), cold spells (3)

• Deadliest: Heatwaves caused more deaths than floods, storms, or wildfires combined

• Climate Attribution: Of 22 events studied in-depth, 17 were intensified by climate change; 5 inconclusive

• Global Temperature: Three-year average crossed 1.5°C threshold for first time; signals dangerous adaptation limits

Heatwave Intensification by Climate Change:

• Frequency Multiplier: Climate change has made some events 10x more likely than decade ago

• Case Study—South Sudan (February 2025):

• Climate change made heatwave ~4°C hotter

• Transformed rare event into expected every-other-year occurrence

• Children collapsed from heatstroke; schools shut nationwide for 2 weeks

• Vulnerability: 33% population lacks water access; only 1% green space; iron-roofed houses without cooling

• Other Regions Affected: Burkina Faso, Norway, Sweden, Mexico, Argentina, England

Disproportionate Impact on Vulnerable Communities:

• Poverty-Heat Nexus: Extreme heat + poverty + inequality = magnified harm

• Infrastructure Gap: Lack of cooling, electricity, clean water increases heat stress

• Gender Disparities: Women disproportionately affected (especially in developing countries)

• Concentrated in informal, heat-exposed work (agriculture, street vending, domestic labor)

• Unpaid care work (water fetching, cooking) in extreme temperatures

• Limited resources and lower literacy increase health risk

• Long-term health impacts: heat exhaustion, cardiovascular, kidney damage

• Occupational Exposure: Outdoor workers in agriculture, construction, street vending lack heat protections

• Health Access: Marginalized communities have limited access to cooling centers, healthcare

2025 Temperature Milestone:

• Historical Significance: Despite no El Niño effect (usually boosts temperatures), 2025 still one of hottest 3 years

• Indicator: Natural climate cycles cooling influence not preventing human-induced warming from manifesting

• Implication: “Second or third hottest year on record is not good news”—scientists’ warning

Limits to Adaptation:

• Threshold Breached: 2025 pushed “millions close to limits of adaptation”

• Small Island States: Even high adaptation preparedness cannot prevent losses as storm intensity increases

• Irreversible Transitions: Coral bleaching, ice sheet melting, ecosystem collapse approaching points of no return

• Development Paradox: Countries with lowest emissions face worst impacts due to vulnerability

Recommended Interventions:

• Heat-Resilient Infrastructure:

• Passive cooling in buildings (ventilation design, reflective surfaces)

• Heat-resistant school schedules and infrastructure

• Urban green space and shade provision

• Water access and distribution systems

• Early Warning Systems: Real-time heat alerts enabling behavioral adaptation

• Social Protection: Cash transfers, cooling center access, occupational heat guidelines

• Low-Cost Solutions: Adjusted work hours, adequate water supply, shade structures significantly reduce harm

• Systemic Change: Emissions reductions remain essential; adaptation alone insufficient

5. El Niño Missing, Blame Fossil Fuels for Deadlier Climate Extremes in 2025—WWA

Context:
2025’s extreme weather and record temperatures occurred without El Niño boost, demonstrating dominant impact of human-induced fossil fuel emissions on climate extremes.

El Niño Absence Context:

• Natural Climate Cycle: El Niño typically increases global temperatures by warming Pacific waters

• 2024-2025: Weak La Niña conditions (cooler Pacific) currently dominant

• Expectation: Cooler years expected during La Niña phase

• Reality: Despite natural cooling influence, 2025 remained among hottest years

Attribution to Fossil Fuels:

• Dominant Driver: Human greenhouse gas emissions (CO₂, methane) overpower natural climate variability

• Forcing Strength: Anthropogenic radiative forcing now exceeds natural forcings by large margin

• Acceleration Trend: Global temperature rise accelerating despite efforts to cut emissions

• Emissions Continue: Global CO₂ emissions hit record highs in 2025; fossil fuel consumption growing

Implications:

• Resilience Weakening: Countries cannot rely on natural cooling cycles to offset human-induced warming

• Compounding Risk: Every year becomes hotter baseline as climate sensitivity increases

• Adaptation Inadequacy: Even strong adaptation measures cannot offset accelerating extremes

• Mitigation Urgency: Rapid emissions reductions essential; cannot wait for favorable natural cycles

Global Emissions Trajectory:

• Paris Agreement Gap: Current policies place world on 2.5-3°C warming path (vs. 1.5°C target)

• Fossil Fuel Expansion: New coal, oil, gas infrastructure locks in decades of high emissions

• Transition Pace: Renewable capacity growing but displaced by increasing total energy demand

• Developing Country Challenge: Energy demand for development drives emissions; debt and finance constraints limit transition speed

Policy Imperatives for India:

• Transition Acceleration: Renewable energy capacity expansion must outpace electricity demand growth

• Coal Phase-Out: Transition timeline for existing coal plants and workers

• Just Transition: Retraining, pension security, livelihood support for coal-dependent regions and workers

• Adaptation Priority: Heat-resilient infrastructure critical for vulnerable populations

• Finance Access: International climate finance for adaptation and transition in developing countries

• Climate Justice: Emphasize historical responsibility of developed countries; equitable burden-sharing

PIB

THE HINDU

Daily Insights